LCO 2519 1 of 8 General Assembly Raised Bill No. 5441 February Session, 2024 LCO No. 2519 Referred to Committee on ENERGY AND TECHNOLOGY Introduced by: (ET) AN ACT CONCERNING UTILITY SHUTOFFS FOR CERTAIN CUSTOMERS. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. Subsection (b) of section 16-262c of the 2024 supplement to 1 the general statutes is repealed and the following is substituted in lieu 2 thereof (Effective July 1, 2024): 3 (b) (1) From November first to May first, inclusive, no electric 4 distribution company, as defined in section 16-1, no electric supplier and 5 no municipal utility furnishing electricity shall terminate, deny or refuse 6 to reinstate residential electric service in hardship cases where the 7 customer lacks the financial resources to pay his or her entire account. 8 From November first to May first, inclusive, no gas company and no 9 municipal utility furnishing gas shall terminate, deny or refuse to 10 reinstate residential gas service in hardship cases where the customer 11 uses such gas for heat and lacks the financial resources to pay his or her 12 entire account, except a gas company that, between May second and 13 October thirty-first, terminated gas service to a residential customer 14 who uses gas for heat and who, during the previous period of 15 Bill No. 5441 LCO 2519 2 of 8 November first to May first, had gas service maintained because of 16 hardship status, may refuse to reinstate the gas service from November 17 first to May first, inclusive, only if the customer has failed to pay, since 18 the preceding November first, the lesser of: (A) Twenty per cent of the 19 outstanding principal balance owed the gas company as of the date of 20 termination, (B) one hundred dollars, or (C) the minimum payments 21 due under the customer's amortization agreement. Notwithstanding 22 [any provision of the general statutes] the provisions of this subdivision, 23 regardless of the month, no electric distribution or gas company, no 24 electric supplier and no municipal utility furnishing electricity or gas 25 shall terminate, deny or refuse to reinstate residential electric or gas 26 service where: [the] (i) The customer is a hardship case and lacks the 27 financial resources to pay his or her entire account; and [if] (ii) the 28 termination, denial of or failure to reinstate such service would create a 29 life-threatening situation for such customer or a member of such 30 customer's household. [No] Notwithstanding the provisions of this 31 subdivision, regardless of the month, no electric distribution or gas 32 company, no electric supplier and no municipal utility furnishing 33 electricity or gas shall terminate, deny or refuse to reinstate residential 34 electric or gas service where: [the] (I) The customer is a hardship case 35 and lacks the financial resources to pay his or her entire account; and (II) 36 a child not more than twenty-four months old resides in the customer's 37 household and such child has been admitted to the hospital and 38 received discharge papers on which the attending physician, physician 39 assistant or an advanced practice registered nurse has indicated such 40 service is a necessity for the health and well-being of such child. 41 (2) During any period in which a residential customer is subject to 42 termination, an electric distribution or gas company, an electric supplier 43 or a municipal utility furnishing electricity or gas shall provide such 44 residential customer whose account is delinquent an opportunity to 45 enter into a reasonable amortization agreement with such company, 46 electric supplier or utility to pay such delinquent account and to avoid 47 termination of service. Such amortization agreement shall allow such 48 customer adequate opportunity to apply for and receive the benefits of 49 Bill No. 5441 LCO 2519 3 of 8 any available energy assistance program. An amortization agreement 50 shall be subject to amendment on customer request if there is a change 51 in the customer's financial circumstances. 52 (3) As used in this section: [,] 53 (A) ["household income"] "Household income" means the combined 54 income over a twelve-month period of the customer and all adults, 55 except children of the customer, who are and have been members of the 56 household for six months or more; [,] and 57 (B) ["hardship case" includes, but is not limited to] "Hardship case" 58 means: (i) A customer receiving local, state or federal public assistance; 59 (ii) a customer whose sole source of financial support is Social Security, 60 United States Department of Veterans Affairs or unemployment 61 compensation benefits; (iii) a customer who is a head of [the] household 62 and is unemployed, and [the household] such household's income is less 63 than three hundred per cent of the poverty level determined by the 64 federal government; (iv) [a customer who is seriously ill or who has a 65 household member who is seriously ill; (v)] a customer whose income 66 falls below one hundred twenty-five per cent of the poverty level 67 determined by the federal government; and [(vi)] (v) a customer whose 68 circumstances threaten a deprivation of food and the necessities of life 69 for himself or dependent children if payment of a delinquent bill is 70 required. 71 (4) (A) Each gas company and electric distribution company shall 72 deduct an arrearage from the account of a residential customer of such 73 company if the customer (i) meets the income eligibility requirements of 74 the Connecticut energy assistance program or state appropriated fuel 75 assistance program; (ii) authorizes the gas or electric distribution 76 company to send a copy of the customer's monthly bill directly to any 77 energy assistance agency for payment; (iii) enters into and complies 78 with an amortization agreement, which agreement is consistent with 79 decisions and policies of the Public Utilities Regulatory Authority; and 80 (iv) is eligible for financial hardship programs with the gas or electric 81 Bill No. 5441 LCO 2519 4 of 8 distribution company. The amount of an arrearage deducted under this 82 subparagraph shall be equal to the customer's monthly payment 83 pursuant to an amortization agreement under this subdivision, 84 provided the customer meets the requirements of subparagraphs (A)(i) 85 to (A)(iv), inclusive, of this subdivision for the month immediately 86 preceding such payment. 87 (B) Each gas company and electric distribution company shall deduct 88 an arrearage from the account of a residential customer who meets the 89 requirements of subparagraphs (A)(i) to (A)(iv), inclusive, of this 90 subdivision in an amount equal to any payment such customer receives 91 from the Connecticut energy assistance program, state appropriated 92 fuel assistance program or other energy assistance sources. Such 93 deduction shall be in addition to any amount deducted pursuant to 94 subparagraph (A) of this subdivision. 95 (C) Notwithstanding the provisions of subdivision (7) of this 96 subsection, any amortization agreement under this subdivision shall 97 distribute customer payments over a period of twelve months, from 98 November first to October thirty-first, and shall create a monthly 99 payment that is affordable to the customer in accordance with the 100 decisions and policies of the authority. 101 (D) In no event shall the deduction of any amounts pursuant to this 102 subdivision result in a credit balance to the customer's account. No 103 customer shall be denied the benefits of this subdivision due to an error 104 by the gas or electric distribution company. If the customer fails to 105 comply with the terms of the amortization agreement, any decision of 106 the authority rendered in lieu of such agreement or the requirements of 107 subparagraphs (A)(i) to (A)(iv), inclusive, of this subdivision, the 108 company may terminate service to the customer, pursuant to all 109 applicable regulations, provided such termination shall not occur 110 between November first and May first. 111 (E) Each gas and electric distribution company shall submit to the 112 Public Utilities Regulatory Authority annually, on or before June first, 113 Bill No. 5441 LCO 2519 5 of 8 an implementation plan that shall include information concerning 114 amortization agreements, counseling, reinstatement of eligibility, rate 115 impacts and any other information deemed relevant by the authority. 116 The Public Utilities Regulatory Authority may approve or modify such 117 plan not later than one hundred twenty-seven days after receipt of the 118 plan. If the authority does not take any action on such plan by such date, 119 the plan shall automatically take effect at the end of such one-hundred-120 twenty-seven-day period, provided the authority may extend such 121 period for an additional thirty days by notifying the company before the 122 end of such one-hundred-twenty-seven-day period. The authority may 123 deny all or part of the recovery of costs incurred pursuant to this 124 subsection if it determines that the company seeking recovery has been 125 imprudent, inefficient or acting in violation of statutes or regulations 126 regarding amortization agreements. 127 (5) (A) All electric distribution and gas companies, electric suppliers 128 and municipal utilities furnishing electricity or gas shall collaborate in 129 developing, subject to approval by the Public Utilities Regulatory 130 Authority, standard provisions for the notice of delinquency and 131 impending termination under subsection (a) of section 16-262d. Each 132 such company and utility shall place on the front of such notice a 133 provision that the company, electric supplier or utility shall not effect 134 termination of service to a residential dwelling for nonpayment of 135 disputed bills during the pendency of any complaint. In addition, the 136 notice shall state that the customer is required to pay current and 137 undisputed bill amounts during the pendency of the complaint. (B) At 138 the beginning of any discussion with a customer concerning a 139 reasonable amortization agreement, any such company or utility shall 140 inform the customer (i) of the availability of a process for resolving 141 disputes over what constitutes a reasonable amortization agreement, (ii) 142 that the company, electric supplier or utility will refer such a dispute to 143 one of its review officers as the first step in attempting to resolve the 144 dispute, and (iii) that the company, electric supplier or utility shall not 145 effect termination of service to a residential dwelling for nonpayment of 146 a delinquent account during the pendency of any complaint, 147 Bill No. 5441 LCO 2519 6 of 8 investigation, hearing or appeal initiated by the customer, unless the 148 customer fails to pay undisputed bills, or undisputed portions of bills, 149 for service received during such period. (C) Each such company, electric 150 supplier and utility shall inform and counsel all customers who are 151 hardship cases as to the availability of all public and private energy 152 conservation programs, including programs sponsored or subsidized 153 by such companies and utilities, eligibility criteria, where to apply, and 154 the circumstances under which such programs are available without 155 cost. 156 (6) (A) The Public Utilities Regulatory Authority shall adopt 157 regulations in accordance with the provisions of chapter 54 to carry out 158 the provisions of this subsection. Such regulations shall include, but not 159 be limited to, criteria for determining hardship cases and for reasonable 160 amortization agreements, including appeal of such agreements, for 161 categories of customers. Such regulations may include the 162 establishment of a reasonable rate of interest that a company may charge 163 on the unpaid balance of a customer's delinquent bill and a description 164 of the relationship and responsibilities of electric suppliers to customers. 165 (B) Not later than October 1, 2025, the authority shall amend the 166 regulations adopted pursuant to subparagraph (A) of this subdivision, 167 to carry out the provisions of subparagraph (B) of subdivision (3) of this 168 subsection and subdivision (9) of this section. 169 (7) The Public Utilities Regulatory Authority may find that a 170 reasonable amortization agreement, other than a reasonable 171 amortization agreement under subdivision (4) of this subsection, is a 172 period of not more than thirty-six months, unless the authority 173 determines that a longer period is warranted. [Not later than October 1, 174 2024, the authority shall amend any regulations adopted pursuant to 175 subdivision (6) of this subsection to carry out the provisions of this 176 subsection.] 177 (8) The chairperson of the Public Utilities Regulatory Authority may 178 distribute not more than one million dollars in total each year to 179 Bill No. 5441 LCO 2519 7 of 8 organizations or individuals providing legal services with the express 180 purpose of attaining participation in public service company programs 181 designed to assist customers with utility bill or arrearage payments, 182 including negotiating a reasonable amortization agreement pursuant to 183 this subsection. Any funds distributed pursuant to this subdivision shall 184 be paid by all public service companies, in proportion to such 185 companies' annual load and the amount of services provided to end use 186 customers or revenue, as determined by the authority. 187 (9) An electric distribution or gas company, electric supplier or 188 municipal utility furnishing electricity or gas may terminate, deny or 189 refuse to reinstate residential electric or gas service for nonpayment to 190 any customer who: (A) Is ill, (B) has a household member who is ill, (C) 191 has a life-threatening situation, or (D) has a household member who has 192 a life-threatening situation, unless such company is prohibited from 193 terminating, denying or refusing to reinstate such service pursuant to 194 subdivision (1) of this subsection or subsection (b) of section 16-262d, as 195 amended by this act. 196 Sec. 2. Subsection (b) of section 16-262d of the general statutes is 197 repealed and the following is substituted in lieu thereof (Effective July 1, 198 2024): 199 (b) No such company, electric supplier or municipal utility shall 200 [effect termination of] terminate service for nonpayment [during such 201 time as] while any resident of a dwelling to which such service is 202 furnished is seriously ill, if: [the fact of such serious illness is certified to 203 such company, electric supplier or municipal utility by] (1) Such 204 resident is a hardship case, as defined in section 16-262c, as amended by 205 this act; and (2) a registered physician, a physician assistant or an 206 advanced practice registered nurse certifies the fact of such serious 207 illness to such company, electric supplier or municipal utility within 208 [such] a period of time after the mailing of a termination notice pursuant 209 to subsection (a) of this section [as] that the Public Utilities Regulatory 210 Authority [may] shall, by regulation adopted in accordance with the 211 provisions of chapter 54, establish, provided the customer to which such 212 Bill No. 5441 LCO 2519 8 of 8 service is billed agrees to amortize the unpaid balance of [his] such 213 customer's account over a reasonable period of time and keeps current 214 [his] such customer's account for utility service as charges accrue in each 215 subsequent billing period. 216 This act shall take effect as follows and shall amend the following sections: Section 1 July 1, 2024 16-262c(b) Sec. 2 July 1, 2024 16-262d(b) ET Joint Favorable